10-QPeriod: Q1 FY2025

EOG RESOURCES INC Quarterly Report for Q1 Ended Mar 31, 2025

Filed May 1, 2025For Securities:EOG

Summary

EOG Resources Inc. (EOG) reported a decrease in total operating revenues to $5.7 billion for the first quarter of 2025, down from $6.1 billion in the same period of 2024. This decline was primarily driven by lower revenues from crude oil and condensate sales, as well as a significant shift from gains to losses on mark-to-market financial commodity and other derivative contracts. Despite the revenue dip, EOG demonstrated operational efficiency with a slight increase in oil and gas production and a notable rise in natural gas prices. Net income decreased to $1.46 billion ($2.65 per diluted share) from $1.79 billion ($3.10 per diluted share) in the prior year's quarter. The company maintained a strong financial position, ending the quarter with $6.6 billion in cash and cash equivalents and a low debt-to-total capitalization ratio of 14%. EOG also continued its commitment to returning capital to shareholders through dividends and share repurchases, spending $1.3 billion on these activities in the quarter.

Financial Highlights

45 data points
Beta

Revenue

$5.67B

Net Income

$1.46B

25.8% Net Margin

EPS (Diluted)

$2.65

Total Assets

$46.98B

Cash & Equivalents

$6.60B

Free Cash Flow

$2.29B

Financial Statements
Beta
Revenue$5.67B
Operating Expenses$3.81B
Operating Income$1.86B
Interest Expense$47.00M
Net Income$1.46B
EPS (Basic)$2.66
EPS (Diluted)$2.65
Shares Outstanding (Basic)550.00M
Shares Outstanding (Diluted)553.00M

Key Highlights

  • 1Total operating revenues decreased by 7% to $5.7 billion in Q1 2025 compared to $6.1 billion in Q1 2024, mainly due to lower commodity derivative gains and reduced crude oil and condensate prices.
  • 2Net income declined to $1.46 billion ($2.65 per diluted share) from $1.79 billion ($3.10 per diluted share) year-over-year.
  • 3Crude oil and condensate production increased by 3% to 502.1 M Bbl/d, while natural gas production rose by 12% to 2,080 MMcfd.
  • 4Average crude oil and condensate prices decreased by 7% to $72.87/Bbl, but average natural gas prices surged by 51% to $3.41/Mcf.
  • 5EOG maintained a robust liquidity position with $6.6 billion in cash and cash equivalents and a debt-to-total capitalization ratio of 14%.
  • 6The company repurchased approximately $788 million of its common stock and paid $538 million in dividends during the quarter.
  • 7Capital expenditures for 2025 are projected between $5.8 billion and $6.2 billion, with a continued focus on high-return U.S. plays like the Delaware Basin and Eagle Ford.

Frequently Asked Questions

EOG's revenue decreased primarily due to a $191 million loss on mark-to-market financial commodity and other derivative contracts in Q1 2025, compared to a $237 million gain in Q1 2024. Additionally, lower composite average prices for crude oil and condensate also contributed to the revenue decline, despite an increase in production volumes.

EOG saw an increase in both crude oil and condensate production (up 3%) and natural gas production (up 12%) year-over-year. While average crude oil and condensate prices softened by 7%, natural gas prices saw a significant increase of 51%, indicating a favorable pricing environment for natural gas during the period.

EOG maintains a strong financial position with $6.6 billion in cash and cash equivalents and a conservative debt-to-total capitalization ratio of 14%. The company is committed to returning capital to shareholders through dividends and share repurchases, as demonstrated by $1.3 billion spent on these activities in Q1 2025. For the full year 2025, EOG plans capital expenditures between $5.8 billion and $6.2 billion, focusing on its core U.S. plays.

During the quarter, EOG entered into an agreement to purchase properties in the Eagle Ford play for approximately $275 million, which closed in April 2025. The company also continued its focus on operational efficiencies and cost mitigation initiatives to offset inflationary pressures. EOG also declared its quarterly cash dividend of $0.975 per share, payable in April and July 2025, and continued its active share repurchase program.